digital marketing advertising agency

Digital Marketing Agency Vs. Advertising Agency

Communicating with potential customers is critical for maximizing your company’s conversions and retention rates. To most effectively communicate with these customers in today’s digital age, business owners are turning more and more towards digital marketing agencies than traditional ad agencies for services such as lead generation, increasing sales, and developing on-brand messaging based on consumer data.

Different Approach, Same Goal

Two types of marketing agencies to reach your audiences

Both traditional and digital agencies have the same objective to bring more attention to a client’s brand through strategic marketing efforts. A traditional advertising firm works closely with clients, writing pitches, researching targeted markets, developing captivating copy and using a variety of other methods to reach a certain demographic. Digital marketing agencies focus on the same goal and use a similar process. Digital agencies meet with clients, develop plans, and curate copy and content as well. However, they also use a modern set of methods to reach audiences.

Both agency types measure success by using a variety of metrics to establish ROI. Effective content marketing tactics and trends come in different packages depending on the target and channel. Using a blend of online and offline formats, marketing and ad agencies have the ability to influence customer behavior.

A Modern Method

The advantage of digital agencies

Traditional advertising agencies have set the status quo for the best way to reach customers in the past. For some products and audiences (namely very large companies) advertising agencies are still the best way to reach immense groups of customers. However, thanks to the Internet and changes in consumer behavior, these methods are no longer the only choice, and for some companies, they are not the right choice. Digital marketing agencies have the advantage when it comes to both understanding consumer behavior and targeting customers. Digital agencies also have the metrics to continually improve marketing efforts.

digital marketing ad agency

A Changing Landscape: Reporting and Automation

The ability to fully understand targeted customers limits traditional advertising firms. With traditional forms of advertising like direct mail and print, radio or TV ads, it’s hard to effectively understand or predict a customer’s behavior. Essentially, once a marketing campaign has launched there’s no cost-effective way to follow up aside from making direct contact with the audience. 

Digital marketers have access to a wealth of web analytics to track audience behavior. Marketers are able to learn everything from content consumers like, to the way customers interact with a product and choose to follow through with a purchase. This kind of invaluable information allows future marketing to be tailored specifically to a demographic or even an individual. But it’s not only the ability to report and track data that gives digital marketers the advantage. Automation of specific parts of the marketing process, including triggered follow-ups and funnels, allows the sales cycle to continue on its own long after making first contact.

Different Sets of Media Platforms and Tools

Traditional advertising agencies use direct mail, billboards, product placement, coupons, print, radio and television ads to reach targeted markets. While such methods are in use today, the truth is more people are spending time and money online using mobile devices and smartphones. Digital agencies have the upper hand because they reach people in a more targeted way. By leveraging digital channels like social media, pay-per-click ads, custom YouTube videos, search engine optimization (SEO), responsive web design, and mobile app marketing, digital agencies have access to more people. Digital marketing agencies target audiences more effectively with optimized reporting, tracking opportunities, and access to a variety of online tools. This makes follow-up and learning more about targeted customers much easier and faster. Analyzing marketing research is essential for business growth and profitability.

digital marketing reporting

Cost and Speed

Traditional agencies focus on mainstream media like television and print. Such mediums have become increasingly expensive over time and less relevant among younger audiences in the digital age of marketing. Digital marketing agencies build brand awareness online and develop lead generation with cost points far below traditional ad agency platforms. Digital agencies are smaller, more nimble, faster, and more tech-savvy when it comes to implementing marketing campaigns to drive online sales and increase conversions.

An Intergrated Approach

Digital marketing and ad agencies develop effective marketing campaigns using analytical and creative skills. While digital marketing agencies spend a higher percentage of time on data-driven analysis, a traditional ad agency focuses fairly heavily on the creative aspect of marketing. 

Digital agencies focus on maximizing what is working, and improving webpages and campaigns, while traditional ad agencies want to keep things fresh and new. However, there is no need to change content for the sake of making it look new if clicks and conversions are thriving. Actually, changing things that are already working is a perfect way to sabotage SEO efforts. This key difference between the two agencies creates an opportunity for digital agencies and traditional ad agencies to collaborate. An integrated marketing approach that utilizes digital marketing services and traditional services has greater potential to serve more clients and improve reach.